North America Leads Global AI Venture Capital Investments
North America remains the dominant force in attracting venture capital for artificial intelligence, despite a challenging political landscape. Recent data reveals a significant disparity in AI funding between North America, Europe, and Asia.
North America Secures the Bulk of AI Investments
From February to May 2025, North American AI and machine learning startups secured a staggering $69.7 billion across 1,528 deals. This dwarfs investments in European AI ventures, which totaled $6.4 billion across 742 deals during the same period. Asian AI startups received even less funding, with $3 billion invested across 515 deals.
Political Headwinds Fail to Deter Investors
The current political climate, including reduced scientific grant funding and stricter immigration policies for foreign students specializing in AI, has created uncertainty in the US tech sector. However, this hasn't deterred investors. North American startups secured 75.6% of global AI venture capital in 2024 ($106.24 billion). This dominance has grown in 2025, with North American AI investments representing 86.2% ($79.74 billion) of global AI funding.
Europe and Asia Lag Behind
While Europe aims to become a global AI leader, it hasn't seen the anticipated surge in venture capital. Similarly, despite the emergence of promising AI startups in China and other Asian countries, VC activity in the region remains comparatively low. Factors like export controls on AI chips likely contribute to this disparity.
US Remains the Epicenter of AI Innovation
Despite political and regulatory hurdles, the US remains the undisputed center for AI capital. This indicates that investors, while potentially wary of political unpredictability, still believe in the potential of US AI innovation to deliver substantial returns.
